IBJ straightens out Star publisher

The Indianapolis Business Journal DID break this story in its Property Lines. Here's the report from Scott Olson at IBJ -- obviously forcing Crochfelt's hand. But why does she have the coy bit about not wanting anyone else to get the scoop, since Olson did? Hmm. Just being disengenuous for it's own sake?

Not so long ago, the Star, when writing about Circle Centre Mall, actually disclosed, in parentheses (harump harump) that it was an investor in the mall. That was under the watch of Frank Caperton and Tim Frankin, executive editors before Gannett came to town.

This new alliance all seems mighty strange. Or maybe, really, it makes sense: a mall that at best has an image problem, and a newspaper that is asking its readers in surveys if they would stick with the paper if it became more USA Today-ish, with occasional local news? Two wrongs still don't make a right, but that seems to be the equation is in this marriage.

Again, here is the IBJ's Scott Olson from a few hours ago. in a "breaking news" online story, which is actually their second reporting of the day:

"On Wednesday morning, IBJ’s Property Lines blogreportedthatThe Starwas considering a portion of the Nordstrom space, along with other options including the CSX Building, which is at the southwest corner of Georgia and Pennsylvania streets.

"If the lease deal closes for the Nordstrom space, it would set up a potentially awkward landlord-tenant relationship involving the city and the state's largest newspaper.

"Circle Centre mall’s ownership is a complicated mix of entities that includes the city and the newspaper itself. The city owns Circle Centre's parking garages and the land under the mall. It paid more than half the cost of building the mall and constructed the Nordstrom space at little or no upfront cost to the retailer.

"Most of the mall itself is owned by a partnership of 20 mostly local companies, including The Star and Simon, which collects fees for management and leasing.

"The high-end department store chain closed the 210,000-square-foot downtown store in July 2011. Nordstrom opened with the mall in 1995, helping ensure the project's success. A Star move into Nordstrom space would be a disappointment to some city boosters who hoped for a retail replacement.

"Meantime, The Whitsett Group plans to start construction by the end of the year on a building to be constructed on the Star’s longtime campus at the corner of Delaware and New York streets, principal Joe Whitsett said.

"Whitsett’s plans call for up to 500 apartments in three buildings and retail space that could attract a bank branch or restaurant."

Comments

hendy [Member] said:

For those of us that are long in the tooth, we remember the shenanigans that surrounded the purchase of various properties that were to become the Circle Center Mall. One by one, through open and dark transactions, the mall came into being. The hold-outs fought eminent domain, and some of them shaped how the mall works today.

The history of how these things came together, the strange taxation rates, the exemptions to tax, the fantastic profits made, all have a stench that only now seems to be wafting away. The pit that used to be MSA Arena, the crater of the Hoosier Dome, the HQ of the Simon Mall group that waves at the State House that cost but a single dollar, it's all pretty sordid.

That outlying malls sucked business away as the downtown languished is no surprise. Nordstrom's left, and for good reason: insufficient business. Now, Gannett wants a presence there, right in the middle of things, easy walking distance to its remaining money-makers, the CIB-financed sports venues. Parking? Who needs parking. Let them eat tin-type.

2013-07-12 07:20:20

ruthholl [Member] said:

From a source who wishes to remain anonymous:"It wasn't necessarily no profits, but it was kind of internal. They were losing money because sales clerks were found to be giving their friends discounts! See a $500 outfit (have no idea what Nordstrom outfits cost, just tossing out a number) and your friend the salesclerk punches in $39.95 or some such. It's not shoplifting. It just good old fashioned American ingenuity! A Nordstrom big wig told me that right after they closed. Met him at an openhouse, but have no idea his name."

2013-07-12 20:44:19

ruthholl [Member] said:

From a source who wishes to remain anonymous:"It wasn't necessarily no profits, but it was kind of internal. They were losing money because sales clerks were found to be giving their friends discounts! See a $500 outfit (have no idea what Nordstrom outfits cost, just tossing out a number) and your friend the salesclerk punches in $39.95 or some such. It's not shoplifting. It just good old fashioned American ingenuity! A Nordstrom big wig told me that right after they closed. Met him at an openhouse, but have no idea his name."

2013-07-12 20:44:24

guy77money [unverified] said:

Same thing hurt L.S. Ayres when it was downtown. The security guards used to steal all sorts of merchandise and sell it at a tenth of what it was worth on the street.

2013-07-15 12:41:00

escapedbeforebeinggannetized [unverified] said:

Circle Centre Mall would be the last place I'd want to go to work every day. With all the density of people, traffic, lack of parking, crime, gangs, murders & mayhem, robberies, solicitors/pandering on the street corners, congestion of traffic during downtown events, etc. NO THANKS. What are they thinking? Will be some kind of major kickback to Gannett or they would not be considering it.